The majority of start-ups require some amount of costs to get up and running. However, some types of businesses incur more costs than others and tech start-ups can be one of them.

Depending upon the type of tech you’re going to be offering, there’s a lot of costs you’re going to need to cover. While some, such as premises and the initial cost of equipment, are obvious, there’s a few costs tech start-ups don’t always consider. Below we’ll look at some of the main expenses that are easy to forget about when setting up your tech company.

Development costs

It’s not just the development of your actual products and services which can be expensive. You’ve also got the costs of digital development. This includes a website, mobile apps and interactive stores.

Did you know it can cost over £100,000 to set up a truly unique, interactive store? Developers are expensive, and it can take them six months to complete a store or complex application. So, if you’re paying them by the hour, the costs can soon get out of hand.

Product delivery

If you’re selling physical goods, you’re going to need to ensure they get to your clients and customers quickly. This means, you’re going to need a reliable courier service. Delivery costs aren’t something you tend to remember to add onto your overall start-up budget. However, if you don’t plan ahead, you could soon find even the cost of delivery can be expensive.

There’s a lot of different shipping options available. Tech companies looking to send large goods for example, may benefit from pallet deliveries. These can work out much cheaper than trying to send large, bulky parcels.

Marketing

Another cost that’s easy to forget about is marketing. You’re obviously going to need to market your services in order to attract new customers and clients. While there are some great, free options available, you will need to use some form of paid advertising to get the word out.

You don’t need a huge budget for marketing, but the more you can spend, the more effective it’s going to be. So, try and add this into your overall start-up costs when creating a business plan.

There’s a lot of costs which can be easily forgotten, but the above are some of the most common and the most important. Underestimating the start-up costs of a tech company can see you out of business before it’s even begun. So, it’s important to do your research and make sure you have everything covered.